One of the big issues with having your retirement savings in a self managed super fund (SMSF) is the difficulty finding productive places to invest relatively small cash balances.
For example, $150,000 may be too big an amount of money to have languishing in a cash management account, but it is also too small an amount to invest in other asset classes, such as a diversified share portfolio or real estate.
The good news is that it is now possible to "gear" your superannuation savings, and thereby gain exposure to an asset that your fund would not otherwise have been able to afford.
This means that you can now combine your super savings with borrowings, and then consider a wider range of potentially more productive investments for your super cash.
We are able to assist you put in place the necessary legal documentation to borrow in your super fund.
If you are considering purchasing an asset in your super fund, and would like to explore the possibility of borrowing to supplement the purchase price, please call us on 1300 654 590 or email us at info@scla.com.au
IMPORTANT NOTE: The above comments are of a general nature only, and do not purport to be either legal or financial advice. Among other things, the trustees of complying superannuation fund must ensure that any investment conforms with the fund's Investment Strategy, and that the fund strictly adheres to the sole purpose test. Please contact us if you require further advice on the role and responsibilities of trustees, or the investment restrictions and prohibitions that apply to complying superannuation funds.
